Gas discovery in Gulf of Mexico

Jul 29, 1997 02:00 AM

July 16, 1997 A natural gas discovery well has been drilled on South Marsh Island Block 39 (SMI 39). The OCS-G 16320 No. 1 well was drilled to 14,270 feet. Electric logs and sidewall cores run to 10,270 feet documented several hydrocarbon-bearing sands, totalling 107 net feet, from 8,530 to 10,270 feet. The well was not logged below 10,270 feet due to wellbore and mechanical restrictions. Hydrocarbon shows encountered while drilling below this depth indicate possible unlogged potential. Additional drilling is planned for the third quarter of 1997 to further delineate the discovery section, test the lower section and evaluate production options available on the block.
SMI 39 was acquired in the April 1996 Federal Gulf of Mexico lease sale in competitive bidding. Chieftain has a 50 % ownership position in SMI 39. Equitable Resources Energy Company (EQT) of Houston, Texas is the block operator and also has a 50 % interest.

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